Definition of Accounts Receivables
Accounts receivable are usually current assets that result from selling goods or providing services to customers on credit . Accounts receivable are also known as trade receivables .
Definition of Receivables
The term receivables sometimes refers to a company's accounts receivables. However, the term receivables could include both trade receivables and nontrade receivables.
Nontrade receivables exclude accounts receivable and may appear on the balance sheet as other receivables .
Examples of Nontrade Receivables
Some examples of nontrade or other receivables include:
- Interest receivable
- Income tax receivable
- Insurance claims receivable
- Receivables from employees
